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"Authority and accountability must align - people shouldn't be held responsible for systems they don't have authority to control."

Dr. Michael Zargum

May 2025 | What's new this month

Principles, agents, and the chain of accountability

New Podcast: Principles, agents, and the chain of accountability in AI systems

Dr. Michael Zargum provides a systems engineering perspective on AI agents, emphasizing accountability structures and the relationship between principals who deploy agents and the agents themselves. In this episode, he brings clarity to the often misunderstood concept of agents in AI by grounding them in established engineering principles rather than treating them as mysterious or elusive entities.

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AI Governance & Assurance | Ethics & Responsibility

Building Trust in AI-Driven Claims Handling: A Deeper Look at Data and Ethics

AI isn’t just a tool for automation—it’s a powerful enabler for property/casualty claims teams of all sizes, experience levels and capacities, empowering them to efficiently manage any caseload, confidently navigate complex documentation and most importantly, make better decisions. The question is no longer whether AI should be used; it is about how to use it responsibly and ethically to protect both the business and the policyholders it serves.

 

Four of the biggest ethical challenges when using AI in insurance

According to experts on a Reuters panel, there are four major ethical challenges faced by insurance professionals today, when it comes to using AI.

The four challenges insurance professionals face are: built-in bias, human talent, transparency, and regulation, according to the panel. They suggested these uncertainties can be addressed, but stressed the urgency of doing so in a landscape where AI in insurance may become “table stakes” in the next 12-24 months.

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Industry Regulation & Legislation

AI and the insurance policy lifecycle

The use of artificial intelligence (AI) by insurance companies is one of the most important regulatory issues currently facing the U.S. insurance industry. Recommendations and decisions concerning insurance policy underwriting, pricing and claims adjudications can now be performed faster and more accurately with the use of AI. But the potential and proven benefits of AI raise insurance regulatory concerns.

 

Unveiling the Quasi-Regulatory Landscape: Empirical Insights into AI Liability Policies

The future of insurance coverage for risks associated with AI technology is unclear. Conversations with key figures in the insurance industry shed some light on its future and the role of the legislator.

Impact & Society

DNB's AI Guidance: balancing innovation with prudence

The Dutch Central Bank (De Nederlandsche Bank, DNB) has shared new key considerations on the use of artificial intelligence in the insurance sector. The March 2025 sector update titled "AI at Insurers: opportunities and risks”(AI bij verzekeraars: kansen en risico's) ") outlines DNB's supervisory expectations based on findings from a 2024 industry survey. The publication builds on DNB's "SAFEST" principles framework, which was first introduced in a 2019 exploratory study conducted jointly with the Netherlands Authority for the Financial Markets.

 

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